House urged to suspend Sjahril, reform BI

House urged to suspend Sjahril, reform BI

JAKARTA (JP): Government watchdogs heated up the controversy
over suspension calls for Bank Indonesia (BI) Governor Sjahril
Sabirin, saying if he was nonactive it would help facilitate the
investigation of the Bank Bali scandal.

Speaking at a seminar on anticorruption, coordinator of the
Indonesian Corruption Watch (ICW) Teten Masduki said on Friday
that the Attorney General's Office would have difficulties in
prosecuting Sjahril if he maintains his current position.

"A thorough investigation into Sjahril cannot proceed smoothly
and independently while he is still in power," Teten said.

He said the House, which, according to the 1999 Law on Bank
Indonesia, has the authority to appoint the central bank's chief,
should press Sjahril to be nonactive pending the completion of
the legal process regarding the case.

"Sjahril's suspension is needed in order to uphold law
supremacy. If Sjahril is found not guilty he must be reinstated
and his name be rehabilitated," Teten said.

Sjahril was named a suspect in the high-profile banking
scandal earlier this week, making him the second prominent figure
implicated after former state minister of investment and state
enterprises development Tanri Abeng.

Teten said the House's decision not to seek Sjahril's
dismissal was in accordance with the principle of presuming
everyone innocent.

"But the House has yet to respond to public calls for
Sjahril's suspension, which is not regulated by law."

Another speaker, Ais Anantama Said, who leads the Center for
Social Problem Studies (Saribanoen), said he was surprised by
Sjahril's refusal to be nonactive temporarily.

"Despite the central bank's independence, Sjahril should have
respected the law and the legal procedure for investigation," he
said.

Said, a former House legislator, appreciated President
Abdurrahman Wahid's remark that Sjahril's suspension was aimed at
saving his name.

Both Teten and Said also called on the House to reform the
central bank and cleanse it from corrupt officials.

"We are suspicious that the central bank has been a haven for
corrupt officials who are hiding behind the new law to avoid
investigation from law enforcers," said Teten.

He also called for the establishment of anticorruption groups
in provinces and regencies under a nationwide anticorruption
movement.

Separately in Denpasar, Bali, economic expert and former
minister Laksamana Sukardi said Abdurrahman could not push for
Sjahril's resignation.

"Only after he (Sjahril) is proven guilty by the court, can he
step down. Resignation calls violate the Law on the Central Bank
which bans other parties from interfering with the central bank's
internal affairs," Laksamana said after addressing a public
debate on Indonesia's economic future at Udayana University
campus.

"I personally think that the Bank Bali case has been diverted.
The real problem (of Baligate) was the misuse of state funds. So
if we keep on making an unnecessary fuss about it and keep
playing with the law, we will get dragged down with it,"
Laksamana said.

Asked if he would accept an offer to take over as BI governor,
the former minister of investment and state enterprises
development simply said: "I can't say I'm willing ... actually,
I'm not interested in becoming part of the government anymore,
not until the problems within BI are resolved."

Another speaker at the event, Arifin Panigoro, also criticized
Abdurrahman's desire for Sjahril's resignation.

"The President's remark is not tactical. If I were president,
I would persuade members of the House to put pressure on Sjahril
instead of expressing my own wishes.

"But then again, the standoff between the President and
Sjahril has cost us a lot of damage. Moreover, if another party
jumps on the bandwagon in this case, our currency rate may fall
to Rp 10,000 (against the U.S. dollar)," Arifin said.
(zen/edt/rms)